Ethanol, Fuels and Co-Product Pricing
Market Outlook: U.S. ethanol prices ended last week 0.5 percent lower but strengthened in early week trading to rise 1.6 percent through Tuesday’s close. Midwest wholesale rack ethanol prices were weaker to end last week but were up 0.5 percent through Tuesday’s market close to their last quote of 48.04 cents/liter (181.86 cents/gallon).
FOB Houston ethanol prices finished last week 7.6 percent lower but are up 1.1 percent through Tuesday’s trading from Friday’s close. FOB Houston ethanol prices are quoted at 44.86 cents/liter (169.81 cents/gallon). FOB Santos, Brazil anhydrous ethanol prices were lower last week; they are up in early week trading, rising 3.4 percent to 61.13 cents/liter (231.41 cents/gallon) through Tuesday’s close.
The FOB Gulf-Santos, Brazil ethanol spread has widened from last week’s close through Tuesday’s trading and is currently at -16.27 cents/liter (-61.6 cents/gallon).
MTBE prices fell 26.1 percent from Monday to Friday last week but stabilized in early week trading to gain 0.4 percent from Friday’s close. MTBE’s premium to FOB Houston ethanol has decreased from last week’s report and stands at 1.42 cents/liter (5.38 cents/gallon).
BTX component prices were mixed last week but held a weaker tone through Tuesday’s market close: Benzene was down 0.4 percent while Toluene was down 0.2 percent, and Xylene was down 0.2 percent. The estimated weighted average aromatic price is currently 65.91 cents/liter (249.48 cents/gallon), down from last Friday’s close. The BTX-Houston ethanol spread narrowed last week, and the weighted average BTX price is 21.05 cents/liter (79.68 cents/gallon) higher than the FOB Houston ethanol price.
Gasoline and petroleum products were lower last week but showed mixed trends in early week trade. RBOB futures are up 1.1 percent to start the week while FOB Prices for 87 CBOB and 87 conventional gasoline are down 0.4 and up 0.5 percent, respectively. WTI futures are 0.4 percent lower at $57.08/barrel while Brent futures are up 0.2 percent to $60.86/barrel, from Friday to Tuesday’s close.
Liquid tanker rates are 1 percent lower on average this week with offers for the U.S. Gulf to Saudi Arabia seeing the largest gains (up 12 percent). Freight from the U.S. Gulf to Morocco saw the largest declines and is down 9 percent from last week. On average, tanker freight from the U.S. Gulf is down 1 percent this week while freight from the PNW has posted a 1 percent decline. Liquid tanker freight rates from Brazil are up 1 percent, on average, this week. Freight rates across all origins are 16 percent higher than this same week in 2025.
On a cost-and-freight (C&F) basis, offers are mostly higher this week as higher FOB offers for ethanol offset lower freight rates. Prices for ethanol C&F to Central America from the U.S. Gulf are up 0.9 percent this week and are down 3.2 percent from this same week in 2025. Values for PNW ethanol to Southeast Asia average $668.22/MT this week, up 1 percent from the prior week but down 1.6 percent year-over-year. That compares to U.S. Gulf to Southeast Asia C&F prices that average $641.71/MT and are up 1 percent from last week but are down 0.8 percent year-over-year. C&F prices for Brazilian ethanol to Southeast Asia are up 2.8 percent from last week.
